Wolverhampton has been ranked as the sixth highest local authority in the United Kingdom for issuing taxi licences to drivers who live outside its boundary, according to data from the Department for Transport. The figures show that the city council granted 1,240 licences to drivers residing elsewhere, a practice that has raised concerns among local taxi trade representatives about safety and accountability.
National Context and Comparison
Across England and Wales, a total of 37,000 taxi and private hire vehicle licences were issued to drivers living outside the licensing authority's area in 2023. This accounts for 4.5% of all licences. The highest number of out-of-area licences was issued by Luton Borough Council, with 3,250, followed by Nottingham City Council (2,930) and Leicester City Council (2,510). Wolverhampton's figure of 1,240 places it behind these three authorities plus Birmingham City Council (1,890) and the London boroughs (where data is aggregated).
Local Reaction
Mohammed Aslam, secretary of the Wolverhampton Taxi Owners and Drivers Association, said: "We have been raising this issue for years. It is unfair to local drivers who have to comply with strict regulations and pay higher fees, while out-of-town drivers can cherry-pick work without the same level of scrutiny. There are also safety concerns because the council cannot easily inspect vehicles or conduct enforcement checks on drivers who are based miles away."
Council Response
A spokesperson for Wolverhampton City Council said: "We follow national guidelines when issuing licences. All applicants, regardless of where they live, must meet the same strict criteria regarding criminal record checks, driving tests, and vehicle safety. However, we understand the concerns and are working with other authorities to improve cross-border enforcement."
Impact on Local Drivers
The influx of out-of-area drivers has created a competitive imbalance, according to local trade bodies. Wolverhampton-licensed drivers typically pay around £300 per year for a licence, while some neighbouring authorities charge less, making it cheaper for drivers from those areas to obtain a Wolverhampton licence. This has led to a situation where local drivers feel they are losing work to outsiders who may not be as familiar with the area's roads or customer service expectations.
Interactive Map Available
An interactive map published by BirminghamWorld allows users to see the number of out-of-area licences issued by each council in England and Wales. The map reveals that the top 10 authorities for out-of-area licences are predominantly in the Midlands and South East, with Wolverhampton being the only Black Country authority in the top 10.
Safety and Regulation
Critics argue that the practice undermines local accountability. If a driver from outside Wolverhampton commits an offence, it can be more difficult for the licensing authority to take enforcement action. The Local Government Association has called for a national licensing database to track drivers across council boundaries, a move supported by Wolverhampton's taxi trade.
Future of Licensing
The government is currently consulting on changes to taxi and private hire vehicle licensing, including proposals to limit the number of out-of-area licences. A Department for Transport spokesperson said: "We are considering options to strengthen the regulatory framework to ensure public safety and fair competition. Any changes will be announced in due course."
